The present invention is generally directed to systems and methods for reducing fraud associated with the theft and improper activation of data cards (such as, for example, gift cards or prepaid debit cards). Specifically, the present invention is directed to systems and methods for printing activation indicia on both a data card and a card package.
Data cards such as gift cards and telephone calling cards permit consumers to prepay for goods or services. An account associated with the data card is debited as goods and services are purchased using the card. Data cards typically include raised or protruding numbers which are a personal account number (PAN), and identify the account associated with the card. Data cards further typically contain a magnetic strip which contains all the data needed for commercial transactions: the PAN, the expiration date, and sometimes the name of the user. These magnetic strips must comply with commercial standards in order to be useful at most stores.
In many instances, the data cards are available for purchase directly from large retail displays. For security purposes, the data cards may be un-activated or have no value associated with them until a purchaser pays a retailer to activate the card or to associate a certain value with the card. Despite these security features to discourage theft, many criminals still steal the data cards, often by removing the card from its packaging.
These cards have been successful, in part, because they enable users to purchase goods and services in a manner that does not require cash on hand or establishing a pre-existing account. As such cards have increased in popularity, incidents of card misuse have increased as well. One method of misuse involves removing just enough of the scratch-off label to reveal the PIN, then covering the damaged area with an appropriately colored material or ink. With the PIN and control number in hand, the cards value can be extracted without actual physical possession of the card. An unsuspecting purchaser, without careful scrutiny, may buy the card only to discover that the security of the card has been breached. Alternatively, the retailer may observe the damage to the card. By the time the retailer or purchaser discovers the damage, however, the misuse will have likely occurred.
Additionally, criminals may attempt to steal information by copying the raised numbers that press through the package. Copying these raised numbers (possibly by etching) is a substantial first step towards penetrating the security procedures of the data card system. The criminal would then wait until the customer purchased and activated the card, and then attempt to obtain additional security information (such as a Personal Identification Number) from the customer through theft or trickery.
Accordingly, it may be desirable to provide a data card which is concealed within its packaging to discourage theft of the cards, and that can readily indicate whether a data card has been subject to misuse.